{"id":130709,"date":"2022-12-27T09:36:09","date_gmt":"2022-12-27T09:36:09","guid":{"rendered":"https:\/\/fin2me.com\/?p=130709"},"modified":"2022-12-27T09:36:09","modified_gmt":"2022-12-27T09:36:09","slug":"63-3-it-returns-filed-for-rs-5-lakh-or-less","status":"publish","type":"post","link":"https:\/\/fin2me.com\/business\/63-3-it-returns-filed-for-rs-5-lakh-or-less\/","title":{"rendered":"63.3% IT Returns Filed For Rs 5 Lakh Or Less"},"content":{"rendered":"
Assessment year 2020-2021 saw returns filed fall to 69.7 million and stood at 71.4 million in assessment year 2021-2022.<\/strong><\/p>\n Nearly two-thirds of the returns that individuals filed were for income of Rs 5 lakh or less, according to a Business Standard<\/em> analysis of the latest available tax data.<\/p>\n This comes amid reported discussions about raising the minimum threshold at which income tax is paid.<\/p>\n A total of 63.3 per cent of the total income tax returns that individuals filed were for an amount equal to or less than Rs 5 lakh, showed an analysis of the income tax data for the latest available assessment year of 2018-2019.<\/p>\n An income tax return (ITR) is a form that entities submit to the government with details about their income, and taxes paid or owed.<\/p>\n Another 26.7 per cent of individual returns were for amounts more than Rs 5 lakh and up to Rs 10 lakh.<\/p>\n Only 10 per cent of the income tax returns filed were for an amount greater than Rs 10 lakh (chart 1).<\/p>\n A total of 55 million individuals filed tax returns in assessment year 2018-19.<\/p>\n The assessment year broadly corresponds to the year after the income is earned.<\/p>\n Thus, the numbers would largely cover the income of financial year 2017-2018 (FY18).<\/p>\n These 55 million individuals declared Rs 34 trillion in income.<\/p>\n Those earning over Rs 10 lakh accounted for the largest share at 38.1 per cent.<\/p>\n Those earning between Rs 5 lakh-Rs 10 lakh accounted for 29.4 per cent.<\/p>\n Those at or below the threshold of Rs 5 lakh accounted for 32.6 per cent of the total amount.<\/p>\n The declared amount included income from salary, capital gains, house property, interest, business and other sources.<\/p>\n Salary was the largest source of income for individuals at Rs 20 trillion.<\/p>\n This was followed by business income at Rs 9.3 trillion.<\/p>\n Individuals accounted for the bulk of all the income that tax filers declared.<\/p>\n They accounted for Rs 34 trillion of the Rs 51 trillion in gross total income declared for assessment year 2018-2019.<\/p>\n In other words, they accounted for nearly Rs 7 out of every Rs 10 declared to the government as gross total income.<\/p>\n Their share in the total number of returns filed has also been rising with time.<\/p>\n The data about returns filed is in terms of financial years.<\/p>\n Individuals accounted for 92 per cent of returns filed in FY14, which rose to 94 per cent in FY19 (chart 2).<\/p>\n The number of returns filed had hit a high of 72.6 million in assessment year 2019-20, which broadly covers income for FY19.<\/p>\n Assessment year 2020-2021 saw returns filed fall to 69.7 million and stood at 71.4 million in assessment year 2021-2022.<\/p>\n ‘The surge of filing ITRs peaked on 31st July, 2022 (due date for salaried taxpayers and other non-tax audit cases) with over 7.24 million ITRs being filed on a single day — on 31st July, 2022. The total ITRs filed till 31st July, 2022 for AY 22-23 is about 58.3 million,’ said a government statement on August 1.<\/p>\n This included only non-audited returns, according to a statement from the income tax department.<\/p>\n <\/p>\n <\/p>\n